CONCERT INVESTMENT SERIES (the "Trust")
Supplement dated September 18, 1998 to the Prospectus
dated February 28, 1998
On June 9, 1998, the Trust's Board of Trustees approved an
amendment to the Trust's investment policies to permit each Fund to
invest in Real Estate Investment Trusts ("REITS"). REITs are entities
which either own properties or make construction or mortgage loans.
Equity trusts own real estate directly and the value of, and income
earned by, the trust depends upon the income of the underlying
properties and the rental income they earn. Equity trusts may also
include operating or finance companies. Equity trusts can also realize
capital gains by selling properties that have appreciated in value. A
mortgage trust can make construction, development or long-term mortgage
loans, and are sensitive to the credit quality of the borrower.
Mortgage trusts derive their income from interest payments. Hybrid
trusts combine the characteristics of both equity and mortgage trusts,
generally by holding both ownership interests and mortgage interests in
real estate. The value of securities issued by REITs are affected by
tax and regulatory requirements and by perceptions of management skill.
They are also subject to heavy cash flow dependency, defaults by
borrowers or tenants, self-liquidation, the possibility of failing to
qualify for tax-free status under the Internal Revenue Code of 1986, as
amended, and failing to maintain exemption from the Investment Company
Act 1940, as amended.
FD
